What is the challenge of strategic management?

Achieving the strategic competitiveness and earning above average returns is one of the strategic management challenges. It is very difficult to be achieved even if the firm is very big and it is even harder for those companies that are in small scale. Eventually the profits are usually hard to find or gain. The rigours of change and also competition catch are another challenge. For instance, in 2000, only 10 of Australia's largest 100 enterprises had been in …

…make a loss rather than a profit. Sometimes do happen to some companies or firm and it is one of the challenges of strategic management. For example, in the case of Pacific Dunlop, the company's strategic errors led to the company share price close to a 15-year low in October 2000. The last challenge for strategic management is that only paranoid companies survive and succeed and it is actually very little paranoid company in the market.